Karnataka Labour Department Clears Infosys of Labour Law Violations Amid Trainee Exits
The Karnataka Labour Department has cleared Infosys of any labour law violations related to the exit of trainees, stating that layoffs apply only to regular employees. The investigation followed reports of around 350-400 trainees being dismissed after failing assessments. Infosys maintains that its policies were followed, while the IT employees' union NITES has raised concerns and threatened protests if action is not taken.
The Karnataka Labour Department on February 27 exonerated software giant Infosys of any labour law breaches concerning the departure of trainees, based on the documentary proof gathered.
Sources informed Moneycontrol that the department has granted Infosys a clean slate after reviewing the collected documentation.
"We may present a conclusive report to the government on March 4," stated a senior labour department official.
"They were merely trainees, and some underwent training for three months. This cannot be classified as a layoff, so these labour laws do not apply in such instances. A layoff is relevant only when there is permanent employment. There was no employer-employee relationship at all. They were all apprenticeship trainees, not full-fledged employees," a source explained.
On February 7, software giant Infosys dismissed approximately 350-400 trainees at its Mysuru campus after they failed assessment tests in three consecutive attempts. This constitutes nearly half of the trainees inducted in October 2024.
On February 13, Moneycontrol reported that Karnataka’s Labour Department officials inspected Infosys’ campuses in Bengaluru and Mysuru to evaluate the circumstances following reports of trainee terminations. This followed an email from the Union Labour Ministry, instructing the Karnataka Labour Commissioner and Labour Secretary to scrutinize the issue and take swift, appropriate measures to resolve the conflict.
Infosys has consistently maintained that it adhered to its prevailing policy, which stipulates that fresh recruits cannot continue with the organisation if they do not clear the evaluation.
No Infosys spokesperson was immediately available to comment on the matter.
Infosys representatives also stated that filtering out underperformers was essential to uphold excellence within its workforce, adding that they facilitated transport, counselling, and lodging for affected trainees.
On February 26, the Pune-based IT employees’ union, Nascent Information Technology Employees Senate (NITES), conducted a press briefing, where several impacted individuals shared their experiences. Moneycontrol could not independently verify their identities.
NITES president Harpreet Singh Saluja asserted that if the government fails to take decisive action, demonstrations will be staged outside the Infosys Mysuru campus.
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